UK raises pressure to appoint women board members

By REUTERS
October 11, 2011 01:02

 
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LONDON - Britain's top companies will face more pressure to increase the number of women on their boards from next year under a new code published on Tuesday that stopped short of quotas seen in other European countries.

The Financial Reporting Council said its tougher rule will force listed companies to spell out annually their policy on diversity, "any measurable objectives" set to implement it and progress made.

The regulator's code was updated last year to say diversity was a good thing.

"We believe this gives a further opportunity to show that Britain's 'comply or explain', code-based approach can deliver a flexible and rapid response and is therefore preferable to detailed legal regulation, and we urge companies to demonstrate this as quickly as possible," FRC chairman Baroness Hogg said.

While the change is effective October 2012, the FRC urged companies to voluntarily apply it immediately.

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